Sep-23 Spot Market Report

Jay Ros -

Highlights for the month are:

  1. Softening electricity spot prices across the NEM with Vic recording the lowest average price at $26.31/MWh, and NSW the highest at just $64.54/MWh
  2. Variable Renewable Generation (VRE) was high across the NEM, contributing to softer prices
  3. Baseload generation was low in September for all regions as a result of soft demand
  4. Qld and NSW experienced record negative prices with 29.4% and 14.6% respectively
  5. Low demand contributed to a low number of $300/MWh pre-dispatch price alerts and the lowest number of actual price outcomes below $300/MWh since Oct-21
  6. Sep-23 recorded the lowest total energy consumption for the NEM since 2001, with a total of just 14,293TWh
  7. A new record low for NEM Operational Demand was set on Sunday 17 September of 11,393MW. SA also set record low operational demand of just 21MW on Sunday 17 September
  8. In generator offers, black coal generators offered less capacity overall during September, while moving offers into the higher price bands. Gas-powered generators also offered significantly less capacity overall, while offers from hydro generators remained at low levels
  9. FCAS cost were slightly higher than recent months, but remained lower compared to September in past years at $14.5m
  10. Average daily gas prices fell from around $11/GJ early in September to around $6/GJ at the end of the month. Average prices for the month were around $9/GJ.
  11. IONA gas storage remains very high compared to historical levels
  12. Total LNG export flows were at the highest level since Jan-22, with LNG exports totaling 1.83m tonnes for September